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Issues: Whether Extra-Departmental Agents in the postal department are workmen and the postal department is an industry so as to attract the Industrial Disputes Act, 1947, and whether termination of their services without compliance with Section 25-F is illegal.
Analysis: The service rendered by the postal department was treated as part of the State's sovereign and welfare functions in providing telecommunication services to the public. The method of recruitment, conditions of service, pay structure and disciplinary control of Extra-Departmental Agents were governed by statutory service rules, including rules relating to recruitment, conduct, penalties and termination. On that basis, the employees were held not to fall within the category of workmen and the postal department was held not to be an industry for the purposes of the Industrial Disputes Act, 1947. The Tribunal's reliance on Section 25-F was therefore held to be misplaced.
Conclusion: Extra-Departmental Agents governed by the statutory rules were not workmen, the postal department was not an industry, and Section 25-F of the Industrial Disputes Act, 1947 did not apply.
Final Conclusion: The batch of appeals was substantially allowed, the Tribunal's view on Industrial Disputes Act protection was set aside, and the respondents' cases were confined to whatever entitlement, if any, flowed from the applicable service rules.
Ratio Decidendi: Employees appointed and regulated under a statutory service regime, whose duties form part of the State's sovereign or welfare functions, do not automatically become workmen so as to attract industrial adjudication and retrenchment protections.